Trump’s Return Shifts Indo-Pacific Ties As Allies Juggle US Security And China’s Economic Pull

Trump’s return reshapes Indo-Pacific alliances, with allies balancing US security ties against growing economic dependence on China

Trump’s Return Shifts Indo-Pacific Ties As Allies Juggle US Security And China’s Economic Pull

Donald Trump’s return to the White House has reignited global debates about American leadership, but nowhere is the impact more layered than in the Indo-Pacific. From Washington’s stance on the Ukraine–Russia war to its backing of Israel’s strikes on Iran, the Trump administration has once again privileged unilateralism over consensus—forcing allies to recalibrate both strategic and economic bearings.

Redefining Alliances, Redrawing Expectations

Trump’s second term doubles down on “America First”, recasting alliances as transactional deals centred on trade and security. Unilateral tariff hikes—first announced on 2 April and then escalated against China—have rattled expectations of stability, even among staunch partners. Public opinion surveys, while not flawless, act as barometers of diplomatic success and reveal a narrowing trust gap between Washington and Beijing. In Japan, India, and South Korea, favourability for Trump stands at 38 percent, 52 percent, and 33 percent respectively—each barely ahead of Xi Jinping’s ratings and signalling a razor-thin edge in perceived reliability.

Figure 1: Trump vs. Xi Favourability Among Key Allies

Country Trump Favourability % Xi Favourability %
Japan 38 37
India 52 51
South Korea 33 32

Source: Pew Research Centre, April–May 2025

Trump’s unpredictability has triggered anxiety among allies, eroding American soft power and raising doubts about reliability

Strategic Trust vs. Economic Realities

Economic preferences in the region further expose the complexity: Japan, South Korea, and India overwhelmingly prefer the United States as an economic partner (78 percent, 81 percent, 60 percent), whereas Australia and Indonesia tilt towards China (69 percent, 53 percent).

Figure 2: Preferred Economic Partner, Indo-Pacific

Country Prefer US % Prefer China %
Japan 78 22
South Korea 81 19
India 60 40
Australia 31 69
Indonesia 47 53

Source: Pew Research Center, April–May 2025

In Oceania, trust in the United States has plunged—down 20 points in Australia and 5 points in New Zealand—underscoring dissatisfaction with erratic US policy.

Figure 3: Change in Trust in US (2024→2025)

Country 2024 Trust % 2025 Trust % Change (pp)
Australia 58 38 –20
New Zealand 38 33 –5

Source: Lowy Institute Poll & Perceptions of Asia Survey, 2025

Two Camps in the US–China Rivalry

Allies now split into two distinct categories based on how they view the US–China competition:

  • Category 1: Strategic allies with the United States on both security and economy, seeing China primarily as a threat (e.g., South Korea).
  • Category 2: States that rely on the United States for security but depend on China for trade (e.g., India, Australia, Philippines).
Country Category China: Threat vs. Partner US: Strategic Role
India Cat. 2 33% view China as threat 35% call US “important”
South Korea Cat. 1 33% see China as cooperative 89% call US “most important”
Japan Cat. 2 53% see China as top threat 78% call US “most important”
Australia Cat. 2 52% see China as threat 35% call US “important”
Philippines Cat. 2 Least trusted economic partner 88% view US as critical

Source: Pew Research Center & National Survey of the Philippines, April–May 2025

Category 1 countries continue to entrust security to the United States while hedging economically. Category 2 states grapple with balancing deep trade ties to Beijing against strategic dependence on Washington.

The Soft Power Conundrum

Trump’s unpredictability has triggered anxiety among allies, eroding American soft power and raising doubts about reliability. Yet, institutional cooperation—joint exercises, information-sharing platforms, alliance forums—has so far mitigated extreme fallout.

Meanwhile, China’s economic overtures are gaining traction where US credibility has slipped.

The paradox: strategic trust in Washington remains strong, but economic pragmatism is pushing allies towards Beijing. This dual-track diplomacy enables states to safeguard interests in both capitals but risks splitting the alliance in moments of acute crisis.

In today’s multipolar Indo-Pacific, perception is policy. If the United States wishes to sustain its leadership, it must rebuild trust by aligning its actions with alliance expectations—balancing domestic priorities with the strategic realities of partners. Ignoring allies’ shifting perceptions will not dissolve alliances, but it will force them to deepen economic ties with China, potentially undermining collective security. The time for Washington to recalibrate is now.